XRP has recently faced a sharp drop from its all-time high (ATH), with prices steady within the lateral trend.
Altcoin is now over the key $3 support that serves as a psychological level for investors. However, if sales increase, XRP could struggle to maintain this support in the coming days.
XRP investors sell it
Net realised profit/loss indicators have shown a significant $845 million worth of sales over the last 24 hours, marking one of the best sales of the day this month. This high sales suggests that many XRP investors are still unsure about the stability of the coin.
XRP price movements reflect broader investors’ concerns about the coin’s short-term trajectory. Many are urging people to secure profits, especially as Altcoin struggles to push back towards the $3.66 ATH.
The momentum of XRP macros has been heavily influenced by recent growing vibrancy tracking long-term holders (LTHS) movements. The vibrancy is now four months high, indicating that many long-term holders are selling XRP. Since LTHS usually has a significant impact on the value of XRP, this shift from accumulation to distribution can have a negative impact on prices.
A growing vibrancy suggests XRP holders are taking advantage of recent profits, which could lead to further sales pressure. If this trend continues, XRP could face downward pressure as it risks violating its $3.00 psychological support level.
XRP prices must be kept
The XRP is currently trading at $3.13, slightly above the support level of $3.00. This support has not been tested frequently, but remains at a critical level for Altcoin. If XRP can’t maintain this level, further negative side pressure could fall below $3.00, with a target of $2.65.
Given current market dynamics and investor divestment pressure, XRP prices could face even lower momentum. Loss of $3.00 in support could lead to additional sales pressure.
However, XRP can regain bullish trends if the broader market shows bullish signals and changes in investor sentiment. A break above the $3.41 resistance level indicates a potential return to upward momentum, bringing the coin closer to a $3.66 ATH.
Disclaimer
In line with Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. Although Beincrypto is committed to accurate and unbiased reporting, market conditions are subject to change without notice. Always carry out your research and consult with an expert before making any financial decisions. Please note that our terms and conditions, privacy policy and disclaimer have been updated.
